Enterprise Risk Management (ERM)

Our Risk Management Process

Amid the continuing pandemic, the looming climate crisis, and the fast-changing needs of our stakeholders, we at JGS acknowledge that viewing business risks and opportunities that includes the context of sustainable development challenges and megatrends is the way to remain responsive, risk intelligent, relevant, and successful. In 2021, we improved our Enterprise Risk Management process to better capture sustainability risk drivers and megatrends and ensure our business strategy is responsive to these factors.

As a group, we employed a bottom-up approach involving various functional units of our operating companies — Airline, Food Manufacturing, Real Estate, Bank, and Petrochemicals — to identify, assess, prioritize, and build risk responses. Top risks identified at the functional unit’s level were rolled-up to the enterprise level of our operating companies, and then to the JGS Group enterprise.

Aware of our volatile, uncertain, complex, and ambiguous (VUCA) business environment, we put emphasis on critical, emerging, and systemic risks and drivers, including ESG risks and megatrends, to ensure that we manage them well and protect the interest of our stakeholders.

Risk Identification

Articulating our Business Drivers and Objectives

This initial step enabled our teams to identify key business drivers that influence our operability and performance. These include human capital, competitive advantage, and innovation processes, among others. Each business driver is assigned strategic and operational objectives which are owned by risk champions and risk owners from various functional units of our operating companies.

Understanding our Risks using Risk Identification Tools

Each risk champion and owner conducted their risk identification process using different tools such as risk factor analysis, megatrends analysis, and systems dynamics analysis. This enabled them to determine the factors that could prevent delivery of their unit’s business objectives.

  • Risk Factor Analysis. This involves identifying risk factors that are critical to the delivery of specific objectives and defining scenarios where these factors were compromised in the past or could be compromised in the future. This thought process made certain market and operational risks apparent to the teams.
  • Megatrend Analysis. This process allowed us to have a better understanding of emerging risks that could change our business environment and competitive landscape. This covered sustainability-related megatrends, such as changes in market expectations due to climate change and nature loss. This enabled us to better capture ESG risks.
  • Systems Dynamics Analysis. Some risks and risk drivers are systemic in nature. They may not be apparent using direct risk identification approaches and are better understood using a systems lens to uncover seemingly unrelated and indirect factors that affect our business performance. The issues we tackled included ESG factors, such as structural inequality that could influence the overall size of our markets.
Building our Risk Registry

Risks and risk drivers identified by our risk champions and risk owners were summarized, compiled, and documented to comprise our Risk Registry.

Risks Assessment

With the long list of risks identified in the foregoing step, our goal was to determine which of these risks, individually or as a risk system, can pose a significant impact in our ability to implement our strategies and deliver our business objectives.

Risk Categories

We grouped similar risks together into categories, as follows:

For each risk category, we developed impact parameters that clearly define what is considered insignificant, minor, moderate, major, or extreme impact to our business. Likewise, we set the likelihood parameters defining whether the chance of occurrence is rare, unlikely, probable, likely, or almost certain. Each operating company developed their own risk assessment scale depending on their context and risk appetite. In doing so, we made our risk rating process easier, standardized and more objective.

Risk severity is assigned a rating of either very low, low, medium, high, or very high depending on their impact and likelihood scores. In assessing risks, we rated the severity of impact based on their nature, regardless of our organization’s circumstances and capability to manage them.

Those risks rated medium to very high in severity were considered in the prioritization process.

Risk Prioritization

This process enabled us to focus our implementation of risk responses into certain high and medium severity risks based on our organization’s risk profile, vulnerability, and contribution. We also considered the urgency to address the risks.

Risk Profile

We considered our current risk profile, whether we are about to breach our risk appetite, or we are still well within our risk target. Priority for response action is given to high severity risks that are close to appetite breach.


We prioritized risks based on our preparedness to manage them should they materialize. We focus on strengthening risk responses that we are still not equipped enough to handle.


We examined our level of contribution to aggravating certain risks. This is particularly relevant to ESG risks like climate change impacts which we also contribute to. We take on these risks as our responsibility too.

Urgency of Response

Given our finite resources, we considered prioritizing our actions based on the urgency of the risks. To do this, we looked at two factors – velocity and mitigation timeframe. Velocity refers to how quickly we will feel the impact of the risks when they materialize, while mitigation timeframe refers to the length of time that we need to manage these risks. High velocity risks need to be acted upon immediately. However, we also prioritize acting on low velocity risks that require a longer timeframe to manage. For example, impacts of sea level rise because of climate change may not be felt as quickly as an extreme weather event, but we act on them today because it takes more than a decade to decarbonize and improve our resilience to better manage this risk.

Risk Response, Monitoring, and Evaluation

We ensured that appropriate risk responses are in place for each priority risk, both at the level of the risk champions and risk owners and at the enterprise level of our operating companies. Risk responses have also been put in place at the parent level, specifically those that are common to most of our businesses.

Risk champions are tasked to continually monitor and evaluate the effectiveness of the risk responses. Material residual risks are assessed properly for improvement of risk response and identification of recovery measures.

Given the dynamic nature of risks, the entire risk management process is iterated and reviewed at the functional, corporate, and group-wide levels.

Risk Governance

Engaging and building the capacity of personnel in key risk functions is crucial in maintaining strong Enterprise Risk Management and Governance. In 2021, JGSHI identified key risk owners and risks in each operating company and the Corporate Center Unit, and provided them with the needed tools to conduct more comprehensive risk identification, assessment, and prioritization.

This enhanced their competency to ensure that sustainability and emerging risks within their control are captured and managed well. Top risks for each functional unit were rolled up to the enterprise level of each operating company and further elevated to JGS’s level.

These processes form part of JGS Group’s risk management and governance policy.

ERM Structure, Roles and Responsibilities

The following structure represents the line of responsibility of key functions that ensure the management of all risks that are material to the company.

The responsibilities of the Board, the Management, and other critical functions in our ERM process are specified below.

Board of Directors

  • Oversee the establishment of an internal control system to monitor and manage potential conflicts of interest and an ERM framework to identify, monitor, assess, and manage key business risks

Audit, Related Party Transactions, and Risk Oversight Committee (AURROC)

  • Oversee the establishment of the ERM framework and provide oversight over the company’s risk management policies and procedures to anticipate, minimize, control, or manage risks or possible threats to its operational and financial viability
  • Oversee the development and implementation of a formal ERM Plan and evaluate the ERM Plan to ensure its continued relevance, comprehensiveness, and effectiveness
  • Review the corporation’s risk appetite levels and risk tolerance limits based on changes and developments in the business, the regulatory framework, the external economic and business environment, and occurrence of major events that may have a major impact on the company
  • Report to the Board on a regular basis, or as deemed necessary, the Company’s risk, material risk exposures, the actions taken to reduce the risks, and recommend appetite levels, risk tolerance limits, further action, or plans, as necessary

Chief Risk Officer

  • Lead the Enterprise Risk Management process that will ensure a sound ERM framework is in place to effectively identify, monitor, assess, and manage key business risks
  • Spearhead the development, implementation, maintenance, and continuous improvement of ERM processes and documentation
  • Communicate and report significant risk exposures, control issues, and risk mitigation plans to the AURROC

Risk Council

  • Define the company’s risk management strategies
  • Identify and analyze key risk exposures in all areas, including those relating to Economic, Environmental, Social and Governance (EESG) factors and the achievement of the Corporation’s strategic objectives
  • Evaluate and categorize each identified risk using the Company’s predefined risk categories and parameters
  • Assess the probability of each identified risk becoming a reality and estimate its possible significant financial impact and likelihood of occurrence
  • Establish a risk register with clearly defined, prioritized, and residual risks
  • Develop risk mitigation plans for the most important risks to the Company, as defined by the risk management strategy
  • Initiate a dialogue and provide a forum for members from across the enterprise to openly discuss risks
  • Monitor the risks as well as the effectiveness of response plans and provide feedback to the risk owners

Business Unit Risk Champions and Risk Owners

Risk Champions

  • Composed of heads of each functional or business unit, who are responsible for setting and implementing controls of risks relevant to their department’s function
  • Regularly review, monitor, and update the risk register and ensure that newly emerging risks are identified, assessed, and prioritized
  • Act as the ERM subject matter experts on specific risk categories and collaborate with other risk champions to better understand risk interaction across departments
  • Recommend risk appetite for consideration by ERM Team, Risk Council, and CRO
  • Ensure effective execution and continuous improvement of the ERM process in their respective business functions

Risk Owners

  • Directly accountable and responsible for the identification and management of assigned risks
  • Work with risk champions to determine best approaches to managing the risks, evaluate the effectiveness of response, and track and report residual risks, recommend further risk treatment to risk champion and the ERM Team

Internal Audit

  • Provide independent assessments to the AURROC, Management, and outside parties on the adequacy and effectiveness of governance, risk management, and control processes for the Company
  • Evaluate whether risks relating to the achievement of the company’s strategic objectives are appropriately identified and managed
  • Periodically review and present to the AURROC the significant risk exposures and control issues, including fraud risks, governance issues, and other matters requiring the attention of, or requested by the Board Committees
  • Review any response to risk by management that may be unacceptable to the Company

Risk Disclosures

Sustainability at JGS

Our Sustainability Journey

It has been four years since we at JGS kickstarted our sustainability journey. Since then, we have created the JG Summit Sustainability Leads Council, integrated sustainability in our five-year business strategy, and began publishing our annual Sustainability Report.

Concurrently, our SBUs have also been working to institutionalize and implement sustainable practices in their respective industries and monitoring their performance against global standards. Through these efforts, we have appreciated how much impact we can make together as a group, but also realized how much we still can and need to do.

In 2021, we aimed our focus on climate action. True to our word, we have taken initial steps in adopting the recommendations of the Task Force for Climate-Related Financial Disclosures (TCFD) through enhancing our Enterprise Risk Management to include climate-related risks and solidifying our commitments for each of our Sustainability Focus Area.

Moving forward, we will set sustainability targets at group-wide level and SBU level. To complement this, we are also looking into accelerating our TCFD efforts through conducting climate scenario analysis.

Our Continued Focus on Sustainability

Focus Areas and Key actions

JGS’s Sustainability Framework summarizes the group’s five Sustainability Focus Areas, where we are best positioned to deliver meaningful contributions, address our most pressing societal and environmental issues, and ultimately uplift Filipino lives through generations.

This year, we strengthened our materiality by working with our respective businesses to define how they can most effectively contribute to the achievement of our group-wide ambitions. We did this by reviewing the materiality of each of our businesses and scanning which sustainable development issues they are best positioned to tackle while also generating business value. We then prioritized sustainability issues that (1) the businesses impact at a significant level, (2) present risks and opportunities to their objectives, (3) require solutions that are aligned to their strategy, and (4) are within their capability to deliver meaningful change. For each of those prioritized issues, we defined a set of actions that are most strategic for the SBUs to implement.

The strategic actions identified by each of our businesses were consolidated and aligned to the group’s five focus areas. This allowed us to view our group in a holistic manner and discover opportunities for synergy among our businesses to multiply our impact and at the same time, maximize our use of limited resources. Our goal is collaborative action towards group-wide ambition.

Our Commitments

We declare our sustainability commitments for the coming years as follows:

JGS will disclose its sustainability targets in 2022.

2021 Sustainability Performance

JGS made large strides in its sustainability performance in 2021, launching new initiatives that improve the lives of Filipinos while further continuing and expanding ongoing programs. With our interests in various industries, we are also in the unique position and responsibility of greatly contributing to the UN Sustainable Development Goals through our wide range of products and services.

Climate Action

As a group, we have taken steps to manage our GHG emissions by sourcing renewable energy and investing in improving our operational efficiency. These programs have significantly reduced our group-wide emissions.

Php 148 Million

investment in RLC onsite solar panels

Php 2.34 Million

investment in sourcing 100% clean electricity

16 Airbus A330neo

units purchased

27.62 GWh

of on-site renewable energy

Case Studies: Climate Action
RLC & URC: Going for Renewable Energy

The climate crisis is an issue that literally hits close to home. Our country, the Philippines, is one of the most vulnerable to the effects of climate change. We have seen firsthand the devastation brought by recent typhoons to our communities. With this comes a looming threat that these natural calamities are only bound to get stronger and more frequent. That is if we do not act now.

We at JGS are steadfast in our commitment to climate action. Two of our units, RLC and URC, take the lead within the group with investments in renewable energy.

In 2021 alone, RLC installed solar panels to two of its malls. Since the start of this initiative in 2015, we now have a total of 24 solar-powered malls with a total capacity of 30.79 MW. Overall, 20.69% of these malls’ electricity is obtained from solar energy, avoiding the release of 18,887.47 tons of CO 2 e in 2021. Our investments for onsite solar panels for the malls have so far totaled to Php 1.6 billion.

RLC also supplies renewable energy to its properties through a Retail Electricity Supplier (RES). Robinsons Magnolia’s new wing and Robinsons Offices’ Giga Tower are both 100% powered by renewable energy through an RES.

In URC, 37.9% of its electricity needs are met by renewable energy. BCF Canlubang and BCF Thailand have onsite rooftop solar panels with combined 7 MW capacity, generating 3,490.83 MWh of electricity in 2021. The BCF Bagumbayan facility started purchasing renewable energy from an RES in 2021, consuming 1,768.89 MWh. URC also operates two biogas facilities – one in a chicken farm (Robina Farms 23) and one in a piggery (RF 12). Anaerobic digestion of the chicken and pig manure by microorganisms produces methane, which is then fed to generators. The 500 kVA and 270 kVA generators generated 241,966.11 MWh of electricity in 2021.

CEB: Shifting Towards a More Modern and Fuel-Efficient Fleet

CEB is constantly working to reduce carbon emissions and minimize the environmental impact of its operations. We expect improvements in CEB’s emissions in the coming years because of its recent purchase of 16 Airbus A330neo (New Engine Option) aircraft. One unit already arrived in November 2021. The A330neo uses 25% less fuel than previous generation aircraft, consuming as little as 1.4 liters per seat per 100 kilometers, thus burning less fuel and emitting less carbon. The A330neo is the first aircraft in the world already certified to comply with ICAO’s CO2 emissions standards beyond 2028.

CEB also discloses its carbon emissions on a voluntary basis to the Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA) and through our sustainability reports. In addition, opportunities for voluntary carbon offsetting are also being explored to compensate for emissions not included in CORSIA.

We aim to further expand these efforts to demonstrate our commitment to climate action.

TCFD Framework

The TCFD Recommendations involve four thematic areas, which are Governance, Strategy, Risk Management, and Metrics and Targets. TCFD provided each thematic area with general guidance on what to disclose, along with more specific recommendations.

TCFD Thematic Areas and General Disclosure Guidance

Recommended Disclosures


General Guidance

Disclose the organization’s governance around climate-related risks and opportunities.

1. Describe the board’s oversight of climate-related risks and opportunities.

  • JGS’ Audit, RPT, and Risk Oversight Committee AURROC assume the following responsibilities in relation to its Enterprise Risk Management (ERM), which includes climate-related risk considerations:
    • Oversee the establishment of ERM framework and provide oversight over the company’s risk management policies and procedures to anticipate, minimize, control, or manage risks or possible threats to its operational and financial viability.
    • Review the corporation’s risk appetite levels and risk tolerance limits based on changes and developments in the business, the regulatory framework, the external economic and business environment, and occurrence of major events that may have a major impact on the Company.
    • Provide guidance and oversee policymaking on the Company’s sustainability strategies, programs, initiatives, and reports.
    • Ensure overall Company support and alignment with appropriate standards and best practices on economic, environmental, social and governance (EESG) and sustainable development.

2. Describe management’s role in assessing and managing climate-related risks and opportunities.

  • JGS has an AURROC that has the following responsibilities:

    • Define the company’s risk management strategies
    • Identify and analyze key risk exposures in all areas, including those relating to EESG factors and the achievement of the Corporation’s strategic objectives
    • Develop risk mitigation plans for the most important risks to the Company, as defined by the risk management strategyv
    • Communicate and report significant risk exposures, control issues and risk mitigation plan to the Board.
Please refer to JGS’s Risk Governance for more information


General Guidance

Disclose the actual and potential impacts of climate-related risks and opportunities on the organization’s businesses, strategy, and financial planning where such information is material

1. Describe the climate-related risks and opportunities the organization has identified over the short, medium, and long term.

  • Through our ERM process, we have identified Emerging Risks related to climate and how these may impact our businesses. These risks include more frequent and more severe extreme weather events and sustainability and climate-related regulation, such as carbon pricing and emissions caps. We have identified risk treatments that will be implemented to mitigate these risks.

2. Describe the impact of climate-related risks and opportunities on the organization’s businesses, strategy, and financial planning

  • We identified the following climate-related risk implications:
    • Sustainability and climate risks, such as more extreme weather events, may hamper our operations and affect the company’s infrastructure and physical assets.
    • Regulatory changes due to the transition to the low carbon economy, such as carbon pricing, emissions caps, and extended producer responsibility, may affect company operations through increased costs of compliance.

3. Describe the resilience of the organization’s strategy, taking into consideration different climate-related scenarios, including a 2°C or lower scenario.

  • JGS plans to conduct climate scenario analysis to better understand our company’s exposure to different risks under different climate futures. Analyzing these climate risks and impacts on our facilities will help inform our investments and actions.

Risk Management

General Guidance

Disclose how the organization identifies, assesses, and manages climate-related risks

1. Describe the organization’s processes for identifying and assessing climate-related risks. Describe how this is integrated into the organization’s overall risk management.

  • JGS’ process of identification and assessment of climate-related risks is embedded in our overall Enterprise Risk Management (IERM).
  • The ERM process involves the following steps: 1) Risk Identification, 2) Risk Assessment, 3) Risk Prioritization, 3) Risk Response, Monitoring, and Evaluation.

2. Describe the organization’s processes for managing climate-related risks.

  • Our management of climate-related risks which are under our emerging risk category include the following risk treatments:
    • Develop Group-wide action plans for identified sustainability and climate change risks in partnership with the SBUs and CCUs.
    • Monitor new legislative proposals and regulatory trends and identify potential effects on operations.
    • Consider the impact of potential sustainability and climate-related regulatory requirements on its plans.
    • Future-proof holdings by setting sustainability and climate-related targets that meet or exceed potential regulatory requirements.
Please refer to JGS’s Enterprise Risk Management Process for more information.

Metrics and Targets

General Guidance

Disclose the metrics and targets used to assess and manage relevant climate related risks and opportunities where such information is material

1. Disclose the metrics used by the organization to assess climate-related risks and opportunities in line with its strategy and risk management process.

  • We monitor how much GHG we are avoiding through our initiatives such as use of solar panels by our Malls, transition to more efficient air- conditioning units, purchase of fuel-efficient airplanes, among others.

2. Disclose Scope 1, Scope 2, and, if appropriate, Scope 3 greenhouse gas (GHG) emissions, and the related risks.

  • JGS discloses its Scope 1 and 2 emissions for its five main businesses: URC, RLC, CEB, RBank, and JGSOC. Scope 3 emissions are also disclosed for these businesses where available.
  • Please see our GHG emissions disclosures.

3. Describe the targets used by the organization to manage climate-related risks and opportunities and performance against targets.

  • CEB will operate with an all-Neo fleet by 2027.
  • JGS will disclose its sustainability targets in 2022.
Please refer to JGS’s Sustainability Framework and commitments under each focus area for more information.

Resource Efficiency and Circularity

We operate resource-intensive businesses such as food manufacturing, air transport, and petrochemicals. As such, we continue to find ways of optimizing and streamlining our operations.

20% Savings

in fuel versus current industry best practice

Php 935 Million

investment in process efficiency improvement in select RLC and URC facilities

13.5 Metric Tons

of paper saved through RBank digitalization initiatives

¹ Water Use Ratio (WUR) is the measurement of water consumption in relation to total products produced per category, covering all water sources of the company.

² Energy Use Ratio (EUR) is the measurement of energy consumption in relation to total products produced per category, covering all energy sources of the company.
Case Studies: Resource Efficiency and Circularity
URC: Championing Water Conservation

Water is one of the most precious natural resources that we have. It is not only essential to us as a company as it serves as input material in the production of our goods, but it is also a need and a right of every individual to have access to clean water. Recognizing this, we continue to find new ways to conserve and save water in our operations.

Our food manufacturing business, URC, implements its reduce, reuse, and recycle program to optimize water use in its operations. The company reduces its water consumption by fixing leaks, replacing pipes with more durable materials like stainless steel, eliminating production wastage, improving the efficiency of its water treatment facilities, and using rainwater harvesting methods. It reuses water when cleaning pallets, watering plants and flushing toilets. It recycles water meant for washing critical raw materials used in its products, such as unpeeled potato, as well as for its cooling towers.

As a result of these efforts, URC has saved more than 11 million cubic meters of water since 2018, enough to fill 4,600 Olympic-size swimming pools. In 2021 alone, it recycled more than 860,000 cubic meters of water – enough to cover the needs of 2.26 million people for a day.

JGSOC: Efficiency and Circularity in our Product Offerings

JGSOC takes pride in its continued focus on improving its products and manufacturing efficiency to deliver the best value and increased eco-efficiency to our customers.

We continued to deliver the best value to our customers by improving product formulations and structures and offering highly differentiated EVALENE® products that better suit their needs. We also developed new high-performance products that enable our customers to be more eco-efficient.

For example, we developed Medium Part HDPE Blow Molding Grade that allows for the addition of reprocessed material in jerrycans and other blow-molded parts. We will also be developing Bimodal HDPE Film Grade that enables more post-consumer recycled materials in carrier bags. We will likewise develop Bimodal HDPE Pipe Grade for thinner pipes with lower jointing temperatures at the same application class and design pressure.

Through the use of our Metallocene LLDPE film grades, customers will be able to reduce materials consumption and/or energy used per unit manufactured for several product types. They can optimize through downgauging, or using less material, when replacing typical LLDPE blends for general purpose bags, vacuum bags, heavy-duty resin bags and pouches. Lowering of heat seal initiation temperature for packaging will also be possible with these high-performance grades.

With High Clarity Random Copolymer PP Thin Wall Injection Molding Grade, customers were able to lower processing temperatures. By using high-stiffness Nucleated Homopolymer PP Injection Molding Grade, customers were able to use less materials and had a faster cycle time in the manufacture of housewares and containers.

CEB: Implementing Fuel Efficiency Efforts

Fuel is one of the biggest expenses of CEB and is known for its negative impacts to the environment. Therefore, it has become part of our long-term strategy to create systems that will enable us to fly fuel-efficient aircrafts and carry more passengers and cargo while consuming less fuel.

Aside from purchasing fuel-efficient aircrafts, CEB has also implemented the continuous descent approach (CDA), alternate route fuel and distance reduction, and fuel landing savings in the last quarter of 2021 that all aim to ensure the efficiency of our fuel use.

Employee Growth and Well-being

Maintaining a healthy and encouraging environment for our people has always been our priority. In 2021, we continue to uphold this value and as a result, we have a 96.99% employee retention rate across all the JGS business units.

Php 25 Million

investment in JGS Executive Development Program


employees with access to:


courses, content, and live sessions

95% Vaccinated

workforce including organic employees and third-party workers


employee consultations through Telehealth services


partner hospitals


total learning hours provided to:

802 Employees

through LinkedIn Learning

Case Studies: Employee Growth and Well-being
JGS: Capacity Building for Business Leaders and Employees

Our employees are the backbone of our company. We ensure that we create an environment for them, where they can grow and flourish as professionals. As such, we invest in training programs that will help them advance their careers with us.

Evolving from our 2020 approach of “Leading Self, Leading Teams, and Leading Organizations, the JGS Executive Development Program 2021 equips our leaders with the skills and mindset they need to drive the company forward and inspire fellow team members. Participants of the program are offered best-in-class learning partners. It also includes modules on leadership competency framework, leaders’ self-awareness, capacity, and leadership effectiveness, understanding enterprise agility and digital business models, and unlocking growth opportunities that comes with preparing the company to succeed. The company invested Php 25 million in developing the program in the training, which was attended by 140 leaders in 2021. Aside from the Executive Development Program, we also held “Conversations with the JGS Leaders”, where leaders from across the group talked about the values that the company espouses: Entrepreneurial Mindset, Integrity and Stewardship.

In addition, JGS also encourages continuous learning for all employees by offering them access to LinkedIn Learning Programs. Employees are allowed flexible choices of programs for their own professional and personal development. In 2021, 1,005 employees were given access to more than 16,000 courses, content, and live sessions.

Overall, JGS employees gained an average of 20.91 training hours for the year from these initiatives.

CEB: Encouraging Continuous Learning for Employees

Our airline business showcases its commitment to nurturing the personal and professional development of its employees through its own employee programs. The training programs provided to employees are customized and aligned to emerging skills and are anchored to the goals of the organization while incorporating CEB’s culture and values.

Cebu Pacific People Department oversees basic courses, people engagement training programs, and management and leadership programs. One of CEB’s platforms is the Learning Management System (LMS), which hosts various e-learning and training modules. The company’s other learning platform is known as the Cebu Pacific University (CEB U), which was launched in 2018. CEB U is envisioned to host all continuous learning opportunities for employees across all levels in the organization. CEB U partners with schools, consulting firms, and other industry experts to deliver the learning programs.

In response to the restrictions due to the pandemic, CEB continued to roll out its asynchronous learning initiative called CEB U on the Go, making available 51 bite-sized and self-paced modules across 13 relevant themes, such as Resiliency, Diversity and Inclusion, Goal Setting, Wellness, Data-Driven Culture, Agility, Emotional Intelligence, and Coaching. In 2021, CEB U on the Go was able to reach 52% of Cebu Pacific’s employees with 1,316 unique access during the year. Specialized technical training programs, such as safety and security, cabin crew, and pilot training classes are handled by specific departments.

JGSOC: Upgrading our Health and Safety Protocols and Valuing Employees’ Well-Being

JGSOC reaffirmed its commitment to providing a safe working environment with the implementation of numerous occupational health, safety, and wellness programs for its employees.

The company successfully upgraded to the latest global health and safety standards as it successfully migrated to the ISO 45001:2018 Occupational Health and Safety Management System. This means that JGSOC’s procedures properly incorporate health and safety aspects into the overall management system and culture of the company. In addition, the top management has a stronger and more proactive role in its implementation. The migration, which took more than a year, included training sessions, gap analysis, consultations, risk assessments, internal audits, and management reviews.

JGSOC also offered online programs to take care of employees’ mental health, such as mental health literacy webinars, a mindfulness program, meditation program, and Building Resilience training series. Offering our employees a safe and pleasant workplace, as well as providing our host communities with the peace of mind that comes from having a safely operating plant in their neighborhoods are integral to JGSOC’s management policy.

Shared Success

We ensure the equitable flow of economic value to our key stakeholders. Our Economic Value Distributed to employees, suppliers, government, providers of capital, and communities amounted to Php 235.82 billion in 2021.

133.8 Tons

of Granola potato seeds donated

700+ Farmer

in the Cordillera Administrative Region, Bukidnon, and Davao del Sur

1,980 New
RBank Accounts

opened through Premiumbikes stores

Case Studies: Shared Success
URC: Partnering with Local Farmers

Supporting the continued growth of our partners and communities is key to JGS’ long-term success. Our relationship with them is something that we deeply value as a company. One of our businesses who actively reach out to these communities is URC.

In partnership with the Department of Agriculture, URC helps local farmers increase their yield by providing them with high quality Granola potato seeds. Since 2019, more than 365 tons of potato seeds have been distributed to 2,716 farmers from selected cooperatives in the Cordillera Administrative Region, Davao del Sur, and Bukidnon.

The farmers sell a portion of their harvest, while the rest are kept as seeds to sustain the following farming cycles. To date, the farmer beneficiaries of the program have earned a collective amount of Php 350 million net income, averaging Php 135,000 net income per farmer per planting cycle.

With the Philippines being primarily an agricultural country, URC will keep doing its part in providing the agriculture industry the support it needs.

RBank: Promoting Financial Inclusion

According to the latest Financial Inclusion Survey³ conducted by the Bangko Sentral ng Pilipinas in 2019, 71.4 % of adult Filipinos do not have a formal bank account. While this percentage has already decreased compared to 77.4% in 2017, there is still much to be done to bring financial services closer to the Filipino people. Our banking arm, Robinsons Bank (RBank), continues to come up with innovative solutions to address this issue.

RBank reaches out to the unbanked and underserved Filipinos through RBankMo – an agency banking or “branchless banking” model where customers can do their basic transactions at nearby partner outlets instead of going to an RBank branch. Through RBankMo, customers can open an account, withdraw cash using any BancNet ATM card, deposit money into an RBank savings account, and even pay their bills, all without going far from home.

In 2021, RBankMo partnered with Premiumbikes Corporation (PBC) and Alabat Island Online Shopping (AIOS). PBC is one of the country’s leading motorcycle dealership chains with over 200 stores nationwide, many of which are in rural communities with limited access to financial institutions. Over 100 of PBC’s 200 branches nationwide are RBankMo outlets, with 1,980 new accounts opened, Php 65,000 total average daily transacted value at a PBC store, and around Php 6 million total transacted value in 2021.

In comparison, AIOS is engaged in general merchandise, wholesale, retail, and online selling and serves the community of Alabat Island, Quezon Province. Alabat Island is home to 42,000 people in three municipalities. With no bank branch and ATM in the entire island, two AIOS branches now serve as the island’s alternative bank, delivering basic banking services. This is especially important for 4Ps (Pantawid Pamilyang Pilipino Program) beneficiaries, who receive financial aid from the Philippine government. AIOS became a part of the RBankMo platform in November 2021 and has logged almost Php 1 million total transacted value from more than 200 transactions from November to December 2021.

³ https://www.bsp.gov.ph/Media_And_Research/Financial%20Inclusion%20Dashboard/2021/FIDashboard_1Q2021.pdf

Better Choices

Our brands are built on the trust and loyalty of our customers. This relationship is further nurtured by our rigor to keep offering them high quality, affordable, and accessible products and services.

Php 98 Million

investment (in Giga Tower) to meet international green building standards


New RBank Simplé Savings Accounts opened

JGS is one with the Filipino people in upholding the bayanihan spirit. We acknowledge our company’s role in providing the needs and support to the communities that we work with.

Pandemic Response

  • 1,410 sweeper flights for OFWs and stranded local individuals, with Php 39 million free cargo space for essential and relief goods
  • 67 million COVID-19 vaccine doses transported nationwide
  • 1.98 million people vaccinated for COVID-19 in 37 malls
  • 65,000 COVID-19 vaccine doses donated to the national government and 11,000 doses to local government units via the Gokongwei Brothers Foundation (GBF)
  • Php 12.5 million worth of alcohol, medical kits, and other items donated by both local and international URC operations to medical workers, COVID-19 patients, and essential workers
  • Php 6 million worth of food packs, medical, school and livelihood supplies donated to the residents and workers of JGSOC’s host communities
  • Php 1.8 million worth of Christmas gifts given to 330 nurses from hospital partners and ER nurses by RBank as appreciation to the efforts during the pandemic

Supporting Education

  • 46 Grade 4-6 students initially supported through the launch of JGSOC’s Juan Kapatid Tutorial Program in partnership with GBF to bridge knowledge gaps on STEM subjects and to ensure continuous learning of students even during the pandemic. The matching Suporta Eskwela Parent Club was also launched to serve as a venue for parents to learn how they can support their children in their education and for them to ultimately become advocates of learning.
  • Php 50,000 donated by RBank through the “The Future is Bright” program for the GBF scholarship fund as of December 2021. RBank donates Php 0.5 for every Pesonet, Bills Payment, Remit, and QR transaction done through the RBank Digital Platform. The program runs from November 2021 to November 2022, in time for RBank’s 25th anniversary.
  • Two schools (Tanza National High School and Molino Elementary School) were given supplies, such as alcohol, face masks, reams of bond paper, and printers with ink under RBank and GBF’s GBF Brigada Eskwela Project.
Case Studies: Better Choices
URC: Providing Good Food Choices for All

The past two years living with the pandemic reaffirmed the importance of maintaining a healthy lifestyle and boosting our immunity against diseases. As a food manufacturing company that carries brands that are patronized and loved by Filipinos, URC recognizes the opportunity to promote healthier food choices for all.

Since 2019, URC has been working on improving the nutritional quality of its product portfolio. The company has been monitoring its progress in doing so through the Wellness Criteria. By the end of 2021, 99% of all URC products have passed one URC criterion, 71% have passed two, while 36% have passed three. Through its rigorous product research and development, URC will continue to improve these numbers in the coming years.

URC has also implemented product portfolio changes in the past year. This includes a shift to non-PHO (partially hydrogenated oils) formulations for some of its snack and candy brands, such as Nips, Wiggles, Chooey Toffee, Cloud 9, and Wafrets. PHOs, or more commonly known as trans-fat, contribute to the increase of “bad” cholesterol in our bodies which may lead to heart diseases⁴. URC targets to eliminate the use of PHOs by 2022.

Aside from PHOs, sugar is another ingredient that could potentially lead to cardiovascular diseases. In 2021, URC worked on the reformulation of its beverage brands, Blend 45, C2, and Refresh, to lower its added sugar content to 6%.

Meanwhile, other snack and beverage products were fortified with vitamins and minerals. This includes C2 Immuno, B’lue Vita Boost, and Maxx Vitamin C candy which are sources of Vitamin C that help contribute to the normal function of the immune system, and Presto Creams Peanut Butter, which is a source of B vitamins that help you focus.

In line with JGS’ commitment to provide Better Choices to Filipinos, URC continues to uphold its purpose to delight everyone with good food choices.

⁴ Trans Fat | FDA

RLC: Offering Greener Office Spaces

While we at JGS are already taking steps internally towards heightening operational efficiency efforts, we also want to provide our business partners with the opportunity to also contribute to lessening our negative impacts on the environment. Our real estate arm, RLC, does this by providing its tenants with greener choices when it comes to their office spaces.

As one of the leading real estate companies in the country, RLC continues to innovate its designs, and in the process, integrate sustainability in it. Giga Tower, RLC’s newest office building, is LEED Gold-certified for Building Design and Construction (LEED BD+C), meeting world-class standards in design, construction, and operational efficiency. It is designed to consume 9.5% less electricity overall compared to the same design with standard features.

Advanced meters per energy source per floor were also installed in the project, allowing the tenants to measure the consumption for all systems dedicated to their space and adjust their operations as they see fit. This enables tenants to be more mindful about their consumption of electricity and water, and in the long run, gain cost savings from their operational expenses.

CEB: Enabling Every Juan to Fly Anywhere at Low Costs

Cebu Pacific is the largest carrier in the Philippine air transportation industry, offering low-cost services to more destinations and routes with higher flight frequency within the country than any other airline. While we contribute to ensuring that the planet remains viable for the future generations to come through our purchase of more fuel-efficient planes, we also prioritize providing inclusive, affordable, and accessible air travel to Filipinos.

CEB opened 2021 with 40 domestic and 24 international destinations, spanning Asia, Australia, and the Middle East. As imposition of strict travel restrictions continued, Cebu Pacific ended 2021 with 47 domestic and 15 international destinations. With 74 aircraft in service, the airline transported a total of 3,411,396 passengers, gaining 48.50% of the domestic passenger market share and is the leading airline against key competitors in the air travel industry.

In the same year, CEB launched the CEB Super Pass (CSP) as its innovative and insightful response to the air travel challenges brought about by the pandemic. Through the CSP, customers can buy all the travel passes they can and fly when they can within one year to domestic destinations in CEB’s widest Philippine network. The CSP is priced at a competitive price of Php 99 one-way base fare per pass.

CSP continues to improve its sales performance and gain relevance since it was launched. It garnered a success rate of 43% in May 2021 and 84% in September 2021. As travel activities begin to increase once again, we see an upward trajectory for CSP.

CEB has also hosted the CEB Super Seat Fest (SSF) for the past four years. Based on CEB’s latest Alida Survey, “affordability” moved up as part of the Top 3 of travel considerations, along with Travel Requirements and Restrictions; hence, SSF has thrived amidst challenging and pressing passenger concerns. This was reflected in the record-breaking success rates during the back-to-back SSF and CEB Super Pass (CSP) sales from September to December 2021, which generated notable spikes in conversion month-to-month. The month-long Php 88 sale has performed well alongside two major offers - Piso and CEB Super Pass - indicating higher-than-ever travel and low fare demand of which CEB continues to make accessible for everyone.

ESG Annex

ESG Scorecard

Additional Data Required by GRI

^ The amounts reflected herein are taken from the Company’s audited financial statements for the year. Certain items in direct economic value distributed such as dividends given to stockholders are sourced from the previous year’s economic value generated based on the SEC guidelines and found in the company’s balance sheet accounts. All other items are taken from the company’s financial statement. Hence, economic value distributed can be greater than economic value generated.

*Covers URC BCF PH only.
^^ Quantities reflect increase in scope in energy data

1 Covers RLC, CEB, JGSOC, and Rbank.
2 Covers RLC, CEB, JGSOC, Rbank, and CCU.
**Covers RLC, CEB, RBank and CCU
*** Covers RLC. Vulnerable sector includes, elderly, persons with disabilities, vulnerable women, refugees, migrants,
internally displaced persons, people living with HIV and other diseases, solo parents, and the poor or the base of the
pyramid (BOP; Class D and E).
**** Covers URC, CEB, JGSOC, Rbank, and CCU.